Just like the weather, the real estate market typically cools off during the winter months. This is an excellent time to cash in on investment real estate. Learn more about how to do it in our latest post!
While buying an investment property might be the last thing on your mind during the holiday season, it can be one of the best times to find a great deal. Don’t let the cold weather keep you from looking for those great properties, they are out there! Keep reading to learn more about why winter is the best time to buy investment property in Metro Detroit!
Overall, there are fewer people buying during the winter months. In fact, over 50% of homes are sold during the summer. People aren’t thinking about picking up an moving during the middle of the school year or when the weather is cold. With so many people focused on the holidays and end of the year events, winter can be a great time to have your pick of properties on the market.
With fewer buyers out there, the people that are selling will be more desperate to find a buyer. You will often be able to negotiate a lower price or other perks in order to sell the house. If they are selling mid-year, there is likely a reason why. They will be happy to find a buyer and will be much more likely to accept your offer.
By owning a rental property you will be able to alleviate your tax burden. New tax laws allow people who own rental property as a business to deduct up to 20% of the rental income they earn throughout the year. This can add up to a very substantial deduction, especially for those who own many properties. There are many other tax benefits for landlords such as being able to deduct personal property used in rentals as well as lowered individual tax rates.
See How The House Performs In The Winter
Cold temperatures, humidity, wind, and rain can all have adverse effects on a property. These are things you might not be dealing with in the summer months. By purchasing a Metro Detroit house in the winter, you will be able to see how it handles the elements. You will be able to see how the heat works, check for drafts and much more. Having a poorly insulated house can cost you and your tenants a fortune in heating (and cooling) bills.
More Attention From The Lenders
If you are using bank financing to buy a house, dealing with the lender can be much easier in the winter months. They are no way near as busy and will have more time to focus on getting your loan processed. Many times when working with a lender, the process can seem to go on forever. By purchasing during the winter months, the process can be completed considerably faster.
Start The New Year On A High Note
We all set resolutions or have goals in mind when the new year rolls around. What better way to kick off the new year than by purchasing an investment property. You will immediately see a new stream of income coming in, and achieving a goal so early will get you in the right mindset to keep it up throughout the rest of the year!
Buying a investment property in a great idea for many reasons. To keep the process as simple as possible, choose to work with Pinnell Enterprises, LLC. We can provide you with excellent Metro Detroit investment properties so you can find the best deals, without having to sacrifice the whole season doing research!